If you are living in Michigan and facing the chance of foreclosure on your home, rest assured you are not alone. While facing the facts may be depressing, there are ways to avoid foreclosure even if you get behind on your mortgage. Many have a hard time keeping up on bills when there is an unexpected unemployment or job loss, death in the family, medical emergency or sudden illness. Getting behind on debt does not automatically mean you are an irresponsible spender. There are things out of your control that can affect your ability to meet your monthly obligations.

According to The Balance, one way a lender may help you avoid foreclosure is with a forbearance. This means they hold off on legal action and work with you to come up with an affordable repayment plan.

Some lenders may forgive a payment if it helps you get back on track. While this is rare, you may get a break from a lender if you do not have the means to catch up on your mortgage.

Another option is to add the missing payments to the end of your loan. If you meet the guidelines and have enough equity in your home, they may increase the balance of the loan and put the missed payments on the back end.

If you have an adjustable mortgage, your lender may adjust the interest rate to a more manageable one or freeze it before it gets higher. They may also modify your note and increase the amortization period.

Finally, lenders may also allow you to catch up on your missed payments by spreading them out over a term that is more beneficial. If you can catch up a little bit each month it is easier than trying to come up with two or three back payments right away, while still allowing you to keep your home.

This is intended for educational purposes and should not be interpreted as legal advice.

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